CLI’s flagship regional fund acquires newly-completed Grade A logistics property in South Korea for $112 mil
The commercial property, Anseong Seoungeun Logistics Centre, comprises 2 four-storey structures with cellar grounds. The real property has a total of 60,407 sqm of net leasable location.
Ever since its creation in September 2021, COREF has already invested in possessions in Australia, Japan including Singapore.
It is located in the north western area of Anseong, an emerging logistics hub in the Gyeonggi state. The area is stated as being well-served by key expressways providing quick and easy accessibility to Seoul and even Greater Seoul. A brand-new expressway, which is expected to be finished by 2024, will certainly add higher access to the property.
” This financial investment complements COREF’s existing profile of 10 office and multifamily possessions throughout Japan, Singapore and Australia and diversifies the profile to the resistant South Korean logistics field,” includes Simon Treacy, chief executive officer of private equity real estate at CLI. “Interest for high quality logistics facilities in the nation is durable and increasing progressively on the rear of accelerating e-commerce buildup that has led to the nation getting one of the greatest ecommerce penetration rates worldwide. The purchase also coordinates with COREF’s key financial investment styles, which include capitalising on arising submarkets in the fund’s target created countries and the growing dominance of ecommerce.”
“Asia Pacific continues to gain from quick urbanisation and sturdy business development. Ever since the launch of COREF, we have actually built a diversified profile of 11 top quality assets across four nations in Asia Pacific that give investors appealing risk-adjusted profits. We will certainly continue to utilize our nation companies’ on-the-ground proficiency to expand our exclusive funds,” Treacy continues.
The purchase will carry COREF’s funds under management (FUM) to over $1 billion.
CapitaLand Open End Real Estate Fund (COREF), the front runner regional core-plus fund of CapitaLand Investment (CLI) 9CI -0.93%, has already acquired a newly completed, Grade A logistics real property in South Korea for $112 million.
” Take advantage of our group’s special offer sourcing and execution capacities and substantial 20-year performance history, we protected this excellent possession at an enticing cost via an off-market exercise,” says Matthew Sohn, head of Korea for CLI. “We anticipate logistics supply to moderate significantly in the midterm provided increasing construction expenses, campaign funding demands and also tighter project restrictions. We see prospective in this property as it has a key place in the north-western area of Anseong, a promising submarket that has actually attracted major logistics business to set up base along with numerous global investment firms to get into in logistics properties.”